Before starting any discussion we have to know that what the term signifies. The recession defines that the state of the economy declines. From the middle of 2008, the economic condition of the whole world started becoming very poor. Mainly in USA many people are loosing their jobs. Almost every sector is affected by the economic crisis. Banking sector, production sector, real-estate are the mainly affected areas. But the huge breakdown in information technology industry really shocked most people. The maximum number of jobs was lost in this sector. It is not the story of USA; all the countries are suffering from this problem.
There are so many adverse effects of this recession. Firstly, so many employees are becoming jobless, the price of essential commodities are gradually growing up. The condition is becoming pathetic for the common people. It was expected that things would come under control after the USA presidential elections. But, no fruitful result was produced. Many governments have declared different packages to rescue the public & private sectors of their country. US government has declared that they would give $700 billion to different companies, banks etc to overcome the dangerous economical condition. Currently in every sector the development is being shown. The automobile sector is growing up so fast. The amount of sales has been increased in a rapid way. But the software industry did not come up to the mark till now.
The effect of recession is very little in Australia. Technically, they have shown that they are not under the recession. But if we analyze all the data, some different results may come out. To avoid recession Australian banks cut down their rates up to 3.25%. Not only Australia, Indian government has taken some different steps to overcome the economic situation. We can’t say that India is out of recession but the effect of recession is very little here. In the last year the economical growth was 7.8% which was not bad at all. Besides, the interest rates of the banks have been cut down. Government is investing a large amount of money to help the different private companies.
If we take a look at the educational sector, mainly at the engineering sector, the companies are dispatching the joining letter gradually which is really a good sign for the future. Sensex, Dow Jones, Nasdaq are growing up day by day. It indicates the economical stability & the growth of economy. We can hope that from the beginning of 2010, the effect of recession will be very minimum.